1) What TOU is (and why it exists)
TOU is a pricing signal. Electricity costs more when demand is high (and/or clean generation is scarce) and less when the grid is comfortable.
For many customers, the most painful window is evening—exactly when solar production drops.
Example TOU plan reference (hours vary by plan):
Southern California Edison lists plan details on its TOU page:
SCE TOU plans.
2) The solar mismatch: “midday power” vs “evening price”
MIDDAY: Solar high | Home use moderate | Price often lower
EVENING: Solar low | Home use high | Price often highest
Goal: store midday solar → use it in the expensive window
This is why solar alone can feel underwhelming under modern TOU + Net Billing: you export when it’s cheap and import when it’s expensive.
3) The battery playbook (residential)
Step A — Self-consumption first
- Run daytime loads during solar (laundry, dishwashers, some EV charging)
- Charge the battery from solar
- Minimize exports where export value is low
Step B — Peak shifting
- Discharge the battery during peak hours
- Keep a reserve if you want outage protection
- Use controls/CTs so the system “knows” your load
The “best” settings depend on your utility, your plan, and your lifestyle loads. We tune for real outcomes, not screenshots.
4) Commercial TOU + demand charges (where storage can be a weapon)
Many commercial bills include kW demand charges. A single short spike can raise the bill for the entire month.
Storage can discharge during spikes to cap your kW peak (“peak shaving”), often producing savings solar alone cannot.
ABC Solar commercial rule:
For commercial, we model both: (1) energy shifting (kWh) and (2) peak shaving (kW).
If you ignore demand charges, you can badly mis-predict ROI.
See Commercial Solar + BESS →
5) Battery sizing for TOU (simple way to think about it)
Start with your target “peak window” and your average load during that window.
- If peak is 4 hours and you want to cover ~3 kW average → ~12 kWh usable energy, plus reserve and losses
- If you want whole-home backup (HVAC, big loads) → you must size for kW as well as kWh
Important:
“Usable energy” is not the same as “nameplate.” Real designs include reserve, efficiency, and operating limits.
6) The most common TOU mistakes
Mistake 1: Solar-only under Net Billing
Exporting midday and buying back at night is usually the hard way.
Mistake 2: Undersized inverter power (kW)
If you want whole-home behavior, you need enough kW to carry the real loads.
Mistake 3: No load plan
Backup and TOU performance depends on what you actually run during peak/outage.
Mistake 4: Ignoring winter
Winter solar is lower. Off-grid and heavy backup goals must be winter-proof.
Talk to ABC Solar
Want a TOU-first design? Send us: address, latest electric bill, and panel/roof photos. Tell us if you want
“TOU savings only,” “TOU + backup,” or “off-grid capable.”
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